UPDATE: Walmart Refuses To Pay For Engine Damage Caused By Their Faulty Oil Change
Last Friday, we told you about Ashlee from Paonia, Colorado who took her Saturn to a Walmart Auto Service Center in the city of Delta for an oil change. Because they botched the job, the oil leaked out which resulted in extensive engine damage to the tune of $5,875. Since then, she spoke to a representative from Walmart's insurance company who said that they won't pay for the repairs, because when Ashlee discovered the damage, she took her car to a non-Walmart mechanic, and in doing so has "tampered with evidence." Not to be trifled with, Ashlee is gathering evidence and witnesses and hiring a lawyer. Ashlee's, letter inside...
Hey, it’s Ashlee again. You can add to that story that the insurance company for Wal-mart has just called me to say they are not doing anything about it because I took it to a mechanic first, instead of going to Wal-mart… because this process “tampered with evidence.” Don’t you think any normal person would take a sick vehicle to the closest mechanic to try and get help?
Also, Wal-mart sent an older gentleman with a ponytail, and an unprofessional demeanor to the GMC dealership (where the car is supposed to be getting fixed) to assess the damage. He said he found no oil anywhere, no problems, and the engine ran great when he turned the car on. So I called the manager at the GMC dealership who immediately went out to look at the car himself…. He found “oil everywhere” and he heard severe “rod-knocking” when the engine was running, which he says is a sign of a serious engine problem. He seemed appalled at this, too—just as much as I was! Wal-mart killed my car, then denied it, and now I am hiring a lawyer. I have plenty of picture evidence, and plenty of witness accounts. And as for the condescending insurance rep that snickered at me over the phone when we asked for my date of birth, this is not the last time you will hear from this little 22 year old.
They won't pay because you decided to take your damaged Saturn to a non-Walmart mechanic? That is typical insurance company bullshit. What do you think would have happened if you had taken it to a Walmart mechanic? They would have denied everything and blamed it on something else--it's simply a catch-22. It sounds like you are handling the situation correctly so far. Make sure you gather and record every bit of information you can, doing so will provide your lawyer with the proper ammunition to fight your case. Hang in there, Ashlee and keep us updated.
PREVIOUSLY: Walmart's Botched Oil Change Destroys Your Engine
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Comments:
Insurance companies for this kind of liability don't stay in business by happily paying out claims. Their primary motivations are to collect premiums and fight every claim tooth and nail.
Wal-Mart is insured and will never pay on this, so they are out of it and have no reason to get any more involved than a subpeona requires. To the inurance company, this is a direct attack on their profit margin.
You didn't think they'd make it easy... would you?
@wagnerism: Wal-Mart is going to lose and have to pay for the laywer + related costs. Doesn't make a whole lot of business sense. If the judge makes Wal-Mart pay for attorney's fees, its even worse.
One of the richest companies in America destroys a customer's car. Then doesn't take responsibility for it, even though it's clearly their fault. It's very sad that they won't step up to the plate and do the right thing.
Ashlee should contact a local TV station and see if they'll put her story on the air. There's nothing like bad press on TV that gets results.
Good luck, Ashlee. I'm sorry Walmart is putting you through this crap. If we already didn't have enough reasons to boycott Walmart, this is the final straw.
Why do people insist on being so cheap with oil changes? You go to Wal-Mart for the $14.95 oil change special and are surprised when 1- They botch the job and 2- They don't come clean on it? Seriously, just take you car to either the dealer or a trusted local mechanic. As for Ashlee, sue the crap outa Wal-Mart and serve as a warning to others, I hope it all works out in the end for you. BTW: Saturn dealers usually have reasonable prices on oil changes and most will hand wash and vacuum your car too.
IIRC, I said wait until they refuse to give proper service, then go after them.
That's it, babe. Looks like you're due some serious compensation. Don't stop squeezin' their nuts until their eyes bulge.
Word to Wal-Mart: I FUCKING REFUSE to ever shop in your shitty stores because of SHIT LIKE THIS! How much are you saving trying to dodge what you did to this girl's car, vs. what you could gain by simply owning up to it and fixing it? Great service gets great customers, lousy service gets empty stores!
Dumb fucks.
@n0m4d: I've been in this situation where I needed an oil change (and got it down while on the road during vacation). Unfortunately mechanics and dealerships usually don't do oil changes on a Sunday. I ended up going to Wal-Mart as a matter of convinience. After horror stories like this - no more!
I think going to the local news station would be a good idea. If that fails than take them to court. I wish her best of luck.
Now one thing I will never understand - people bashing Walmart all the time. We are responsible for Walmart being the way it is. We go for the cheapest possible option - every time! I do it all the time! But I don't bash Walmart, if they have the lowest price and often they do, they get my business. And as long as majority of people think this way Walmart isn't going anywhere. Judging by the Walmart's financial data that seems to be the case.
@2719: Don't hold your breath. I used to think exactly like you, but after hearing the stories about WalMart selling substandard products made specially for it by its vendors, I saw that WalMart's everyday business practices were fradulent and unethical, and I stopped shopping there. You can literally buy, say, a comforter set or coffeemaker at Target and "the same" products at WalMart, and the WalMart one might well be a lower quality product. I've seen it myself, when I purchased a product at WalMart, then happened to see "the same" product in another store or at someone else's home.
It seriously makes you wonder what substandard "Made for WalMart" products you might have that you don't know about. Computer equipment? Power tools? Food?
@n0m4d: Why do people insist on being so cheap with oil changes? You go to Wal-Mart for the $14.95 oil change special and are surprised when 1- They botch the job.
Cheap? You are blaming the victim for being cheap? I don't know about you but if I pay for a service, especially one as simple as an oil change, I expect to get what I paid for.
By the way, dealerships are just as bad, especially for oil changes. You didn't think a licensed mechanic was changing your oil at the dealer did you?
Mistakes happen and it all comes down to how you are treated when the do.
@ScubaSteveKzoo: On that note, anyone hear of the Ron White sketch about Sears messing up his tire replacement because clearly the mechanic missed "Lugnut Day" at Sears College?
This reminds me of that, where not only did it destroy your engine, but also becomes an extremely dangerous situation. I hope they have to give you the keys to their store for their mistake.
Seriously. Because Wal-Mart mechanics are so good at rebuilding engines. It's like they'll do it while you shop.
The last time I took my car to Wal-Mart for servicing, and I mean the LAST time, I also wanted a new battery put in. It was rather busy, but I didn't expect this - first they did the oil change, then they put the car back at the end of the long queue for the battery install. This is something I might have done in the parking lot with a Crescent wrench in about ten minutes, and I might have done just that if I didn't need to get the oil change at the same time.
I went back to check on the car, giving them a good hour and a half to do what ought to have taken twenty minutes, and they told me the car wouldn't be ready for yet another hour. When I asked why they didn't put the battery in while they had the hood open for the oil change, I don't remember exactly what the counter clerk said, but it came out sounding like, "we're much too stupid to think about stuff like that." That was it for me. I paid for the oil change, got the battery at Pep Boys or someplace, and never looked back. I don't like monkeys working on my car.
The problem with the "insurance" model is that you hope and pray nothing happens. But, of course, this isn't the case. Sometimes, it comes around to bite you in the tush.
For example, when Katrina hit, State Farm and others refused to pay out on flood damage because it would be too costly. Understandibly so, but they should provide that service.
But with Walmart, these problems shouldn't be many. It's not like Walmart is intentially trying to destroy cars. The insurance company is doing their job to check out the damage but at a certain point, they need to pony up. If Walmart doesn't want it's premiums to go up, they should just pay for it outright.
If all else fails, small claims court FTW. I would sue Walmart, the manager, as well as the actual mechanic SEPERATELY. That way, you increase your chances of a payout.
Walmart, I hope someone at your company is reading this blog. This little incident where you are choosing to NOT stand behind your products and services will end up costing you waaaaaay more than the 6k she is asking for (which seems more than reasonable) because I like many others after reading this story will NEVER use your automotive centers or products again. Why would I as a reasonable consumer choose to support a company that does not stand behind their product? I do not care how cheap you advertise your services at, a company that does not stand behind the products and services they provide is NEVER worth dealing with at any price! Nicely done Walmart...
@Dobernala: Large businesses like Walmart have lawyers on retainer 356 days/year. Fighting these claims costs them nothing.
Losing and having to pay for the other lawyer's work WOULD cost them something.
I've had to deal with a corporate insurance company before. Here's the quick and dirty.
I was driving to school, came up over a hill noticed a big round hunk of metal in the road and it was too late to avoid hitting it. I ended up running over it with my left front tire, completely thrashing my rim/tire. Just a few seconds up the road was a store where I pulled into the parking lot, lo and behold there was a semi with the driver working on it. Several minutes into me cussing and changing my tire, a man in a pickup truck pulls up and hands said hunk of metal to semi driver saying, "You dropped your drive shaft in the middle of the road, here ya go". Hearing that I got the information off the side of the guy's truck and went forward getting ahold of their insurance.
Initially the insurance company tried to tell me to buzz off as I was only 20 (they thought they could screw me over) and that they said it was legal to leave things laying in the middle of the road in Florida.
I knew it wasn't legal, but what do I do now? At that point I was stumped. I called a lawyer friend of the family and his advice was to tell the insurance company that I was going to contact the county/state insurance commissioner. Within 48 hours I had a check for my repairs AND my time.
Moral of the story, try threatening to go to the insurance commissioner.
@andrewe:
Actually yes, when my vehicles go to the dealer for an oil change an ASE certified and Ford certified master mechanic is the person changing my oil.
This poor girl got a raw deal and is being treated unfairly. She paid for a service, had the reasonable expectation that it would be provided and that her vehicle would be returned too her with fluids replaced, filter changed and all the associated caps tightened. Somewhere that train of events derailed and she now has her motor damaged.
Walmart has insurance in the event that these things happen. Anyone would know that a GMC dealership mechanic would be one of the most qualified people to diagnose her vehicle's problems. Not only do they have to be ASE certified but they are additionally certified by General Motors to repair GM products.
Figures. Sounds like grounds to sue the shit out of them.
On a side note, I wonder if a nationalized insurance plan would work as well as nationalized healthcare (supposedly) would. Since it's pretty-much mandatory anyways per law why is it not controlled by the government? That would take out a lot of the profit incentives and greed of a large company if it was ran by a non-profit government branch.
Of course if it was ever seriously brought up it would be fought tooth and nail by the insurance companies and their lobbyists. The second you take away the profit incentive they would start shouting, "Well, it should be the consumer's choice whether they have insurance on their house/car/whatever, though it's wise for them to have it." Either that or get some kind of sweetheart deal non-bid contract for insurance through their paid for senators.
/end derailment
@sleze69: What do the lawyers do the other 9 days?
Before I quit Wal-Mart shopping, I used to think I was getting a great deal. A little experience taught me otherwise. For instance, two years in a row I bought a new oscillating fan - because the one from last year had quit working. Last summer I bought an old - really old, like 1940's old - fan. It weighs a ton and cost twice as much as the Wal-Mart fan, but it works. It still works after 60 years and it still works a year after I bought it. That sounds like a bargain, higher initial cost or not.
That's just one example of many. Now, I could blame Wal-Mart directly, and I do to a degree, but more I blame the manufacturers pawning such lousy mechandise on us. But where are we supposed to shop? The major retailers. What goods are they selling? Whatever generates the most profit. Evidently it's the cheap, unreliable junk that generates the most profit. Well screw that. If that's all Wal-Mart is going to offer me, then forget them.
I'll pay extra for better goods, but Wal-Mart won't carry that. Cheap stuff for cheap prices, no thanks. No wonder our landfills are filling up so fast, Wal-Mart is selling the garbage ready-made.
Take pictures of everything! Find a lawyer that is ex military possibly. You want the lawyer that is a son of a bitch to represent you, which means, he will fight like a dog for you, which is a good thing.
You have a good case so far. When the attorney makes an initial filing, walmart will turn around and try to settle out of court. Hell, your attorney may try and settle before the filing, which is fine IMO. Don't settle unless they pay for all of the damages to your car, your attorney's fees, court filing fees, rental car, and then extra for your trouble. It should cost them much more than the cost to have just fixed your engine. The point of the lawsuit is not only to get what you deserve, but to punish them as well for their egregious behavior. Do not take any offer that allows you to lose financially.
You may can get your insurance company involved in it as well. If they flip the initial bill for rental cars, but think walmart is responsible, they may sue walmarts insurance company.
Also, have your attorney subpoena the CEO of walmart and the CEO of their insurance company into the court room. They really will NOT like that. It will cost them a lot of money to have to deal with that. Also subpoena, store manager for that walmart, service manager for the car area, service employee that changed your oil, mechanics and owner of place you took the car too or at least a written statement from your mechanics and owner.
And of course, contact the BBB and attorney generals office as well. May not be any help but you can at least take all the steps.
Don't do any picketing outside of walmart until after the case is over. You don't want to hurt your case for any reason. You attorney would probably agree with me on that.
Good luck finding a good attorney. Some are very incompetent when it comes to trial work, but, some are also very very very good.
-Phex
-3rd Year PharmD / MBA Candidate
I'm a bit confused by all the stories of folks who suddenly needed an oil change while out on the road. The oil in your car isn't going to suddenly go bad after you hit the 3,000 - 5,000 - 7,000 mile mark (or whatever interval you prefer). If faced with the choice of driving a bit beyond the recommended mileage or taking your car to an untrusted oil change place, for gawd's sake just keep on driving.
@andrewe: Well I blame the OP for not just fixing the engine herself. I mean who doesnt know how to repair everything on their cars these days?
Amirite!?
I used to work for Walmart TLE, and in this situation, this is exactly how Walmart would handle it. The problem here is that in taking the vehicle to a mechanic instead of back to the store for inspection, there is a possibility that a mechanic could have potentially taken the oil plug out and stripping it.
It's the unlikeliest of scenarios considering the reason you went into the mechanic was to have it inspected. Walmart has their own local mechanics usually who they refer people to in case of these problems. Best thing you could have done was never mention the mechanic and have them pay for your car to be inspected by their own mechanic. The local mechanic isn't "in" with Walmart, and they will gladly take Walmart's money to fix your car.
Unfortunately, now you have to go through the legal hassle and fees with Walmart. And to be honest, it isn't a surefire win. Walmart will probably fight this claim very poorly as well, so a good lawyer will probably get you something.
In the end, I reccomend not taking your car to Walmart unless you know a competent employee there and request them to change your oil. I trained many new hires there, and saw a bulk of the accidents that some of the idiots they hired have done to cars. It's not worth the risk.
@backbroken: I'm confused about that as well. I'm also a bit skeptical about stories from random little blogs. I'm no big fan on Wal-Mart, but how do we know this (or just about any other story from an unknown / untrusted source) is actually TRUE? The Consumerist is a very popular site and would it surprise anyone to find out there are some people that hate a company so much that they'd make up bad stories about them to post them here??
Also, there is a misconception here that Walmart is certified to inspect vehicles. While they can make judgments on your vehicle as their opinion, they still refer all problems to local mechanics that bid on that referral.
If you have a legitimate problem with your car after an oil change at Walmart, TAKE IT BACK TO WALMART. They will pay for a tow if needed, and the mechanic will bill Walmart if there is a fix that is needed.
A company that would sell a person's car for the price of an oil change (that happened in Oklahoma City last year) and then refuse to transport the car back to Oklahoma from Florida when it was found, not to mention refuse to provide alternative transportation to the person whose car was sold out from under her for $15.95, is not going to pay for engine damage they caused. At least, not without major strong-arm tactics.
The thing is - if she takes them to small-claims court, there is a really low likelihood they'll even show up. On the other hand, there's nothing to make them actually pay the judgment either. Enforcement is a whole separate issue.
@unpolloloco: Until Walmart accepts responsibility, and admits fault to their insurance company, then this is DEFINITELY a story about them.
Christ on a pogo stick. I'm not "anti-America" or "anti-business," but this is one more infuriating reason I'm "anti-WalMart."
I'm right there with you. Except for the disappointing use of God's name in vain.
I don't think at this point, anyone Anti-Walmart should be confused with being anti-business or anti-America.
@Phexerian: "Don't settle unless they pay for all of the damages to your car, your attorney's fees, court filing fees, rental car, and then extra for your trouble. It should cost them much more than the cost to have just fixed your engine."
IANAL, but this sounds like bad advice. The purpose of the civil court system, as I understand it, is not to "make the bastards pay" but to arbitrate a dispute or redress a legal claim. I doubt seriously that W-M will offer to settle for the whole enchilada. More likely, they will probably wait it out, figuring that they can wait longer than the other side.
It is unlikely that an ambulance chaser will take this one on, since the REAL money comes from personal injury tort, which this is not. As far as getting an ex-military attorney... well, I am sure they will do a great job. But so will any other attorney that the OP chooses to hire. I wouldn't think being a JAG makes an attorney "meaner". (But who knows? Maybe there's something to it? Does anyone out there have any experience in this area?)
Basically, I agree that the OP is doing the right thing and that she's taken all the appropriate steps. She can go to any mechanic she likes (and I would expect any jury or judge to agree that it is perfectly reasonable that she would not trust W-M to take care of things after her experience). W-M and its insurance company are probably just playing the odds that they can bully one of their customers around into giving up the claim. I would say that the OP should proceed with her claim, but she should expect a long, difficult road.
One possible route: Take W-M to small claims court. It is possible that the claims limit is close to $5000. (I know that it's pretty close to that in my own state.) While she may have to forfeit some of her claim, she would have the benefit of skipping the lawyer and all the procedural nonsense. Also, she would get a much faster resolution. It's something to look into anyway.
ashlee - good luck! one piece of advice: don't get drawn in by the insurance co. remember, it was walmart that killed your car, not their insurance agent. take walmart to court, insist that they pay...if i were you, i wouldn't even communicate with the insurers - it's not your responsibility. it is up to management to recover losses incurred - not you. send walmart a bill, demand payment, take them to court if they don't pay. end of story.
I recently had a legal issue with a roofer and would offer the following advice:
Start with an attorney. Find out the legal situation in your state before doing ANYTHING else, such as talking to the media, picketing the store, etc. Otherwise, you could complicate your case (e.g., Walmart counter-sues for defamation).
Your attorney may recommend that before you sue that you file complaints with the BBB, the state Attorney General, and/or your state's equivalent of the Dept. of Labor & Industries.
Once you have a solid understanding of how the law works in your state, step back and take a cold, hard look at whether a suit is worth your time and money. There's an old saying about lawsuits: you go in a pig and come out a sausage. It's a hassle. So if you proceed, be ready to deal with it.
As for Walmart, it is remarkable how the corporation figured it was cost effective to blow off this woman when it will cost them far more in bad publicity. Hey, Walmart, add me to your list of people who will never shop at your store again!
I predict that the insurance company will continue to push back until the minute that they receive the subpoena, then their lawyers will fall over themselves to try and "work out a deal". That's just how it works, sadly. And of course you, the consumer, have to shell out the money to file the suit and have them served.






















Yeah, that's the usual catch-22 situation with this type of thing. They can get out of a huge bill by denying they caused the damage. If they don't deny that, you're supposed to just trust them with your car again? "Sorry about screwing up your car, we won't do it *this* time, honest!".
Yet, if you take the car to someone who's more competent than the original guys proved to be, you're left with the bill...